Spire Global (SPIR) AI Stock Analysis

• Market Cap: $244.21M
• Dividend Yield: N/A
• Average Volume (3M): 598.80K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.65
• Revenue Growth: 8.09%
• EPS Growth: -19.48%
• Country: US
• Employees: 434
• Sector: Industrials
• Sector Strength: 64
• Industry: Specialty Business Services
• EPS (TTM): -4.22
• Shares Outstanding: 30,967,113
• 10 Day Avg. Volume: 569,487
• 30 Day Avg. Volume: 598,801
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 2.04
• Price to Cash Flow (P/CF): 4.20
• P/FCF Ratio: 6.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $14.50
• Price Target Upside: 93.85% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 5

Spire Global's stock score reflects robust revenue growth but is heavily impacted by its financial instability, high debt, and ongoing losses. While strategic initiatives in defense sectors and AI advancements offer potential upside, significant risks such as cash flow challenges and delayed asset sales weigh down the overall assessment.

Positive Factors

Financial Performance

Spire Global reported a significant increase in revenues, with a 29% year-over-year growth for the quarter.

Leadership

The appointment of Alison Engel as CFO brings valuable C-Suite experience to manage Spire's SaaS-like, AI/ML-centric business model.

Strategic Initiatives

Spire Global's new Space Reconnaissance Business Unit is expected to significantly contribute to 2026 growth amid growing RF SIGINT demand.

Negative Factors

Cash Flow Challenges

The company experienced a free cash flow burn of approximately $45 million during the year, despite a 16% improvement year-over-year.

Financing and Dilution

The securities purchase agreement involves selling shares at approximately 22% below the previous closing share price.

Regulatory Challenges

Spire has not been able to meet the NYSE deadline for restating its historical financial statements, risking potential delisting of its shares.

Spire Global Business Overview & Revenue Model

Company Description

Spire Global, Inc. develops a hardware and intelligent analytics platform that tracks the oceans, skies, and weather. It serves maritime, weather, aviation, space services, earth intelligence, and federal industries. Spire Global, Inc. has a strategic partnership with TAC Index Limited. Spire Global, Inc. was formerly known as Nanosatisfi, Inc. and changed its name to Spire Global, Inc. in July 2014. The company was incorporated in 2012 and is based in San Francisco, California with additional offices in Boulder, Colorado; Washington, D.C.; Glasgow, United Kingdom; Luxembourg; and Singapore.

How the Company Makes Money

Spire Global makes money through a subscription-based revenue model, where customers pay for access to its data and analytics services. The company's key revenue streams include data subscriptions, analytics solutions, and custom data services tailored to specific industry needs. Significant partnerships with government agencies, commercial enterprises, and research institutions also contribute to its earnings, as these collaborations often involve long-term contracts and recurring revenue. Additionally, Spire Global monetizes its infrastructure by offering satellite and data services to third parties, further diversifying its income sources.

Spire Global Financial Statement Overview

Summary

Spire Global's financials show revenue growth but ongoing profitability and cash flow challenges. Although gross profit margins are improving, the company remains unprofitable. High leverage and negative cash flows highlight the need for improved cost management.

Income Statement

Spire Global shows a positive trend in revenue growth, with a significant increase from $80.27 million in 2022 to $105.70 million in 2023, representing a growth rate of approximately 31.63%. Despite this, the company remains unprofitable with a negative net profit margin of -60.49% in 2023. The gross profit margin improved to 59.86%, which is a strength, but operating expenses remain high leading to an EBIT margin of -42.24%.

Balance Sheet

The balance sheet shows a high debt-to-equity ratio of 1.85, indicating high leverage which could pose a risk if not managed properly. However, the equity ratio is 28.57%, suggesting that the company has a stable equity base compared to its total assets. The return on equity is negative at -90.68%, reflecting ongoing losses.

Cash Flow

The cash flow statement indicates a challenging environment with negative free cash flow of -$53.66 million in 2023, though there is an improvement from 2022's -$66.74 million. The operating cash flow to net income ratio is 0.37, suggesting inefficiencies in converting net losses into cash flow.

Breakdown
TTM	Dec 2023	Dec 2022	Dec 2021	Dec 2020	Dec 2019
Income Statement		Total Revenue
107.38M	105.70M	80.27M	43.38M	28.49M	18.49M
	Gross Profit
51.62M	63.27M	39.94M	24.66M	18.20M	3.62M
	EBIT
-46.04M	-44.65M	-68.55M	-67.83M	-25.34M	-27.07M
	EBITDA
-32.83M	-23.69M	-54.45M	-17.00M	-19.92M	-17.04M
	Net Income Common Stockholders
-66.51M	-63.96M	-89.41M	-19.31M	-32.50M	-32.32M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
23.86M	40.87M	70.28M	109.26M	15.57M	23.86M
	Total Assets
0.00	246.82M	256.51M	290.19M	44.42M	46.89M
	Total Debt
0.00	130.70M	111.62M	51.12M	75.28M	57.40M
	Net Debt
23.86M	101.55M	64.43M	-58.13M	59.70M	33.53M
	Total Liabilities
0.00	176.29M	146.39M	101.33M	93.16M	65.55M
	Stockholders Equity
-18.66M	70.54M	110.12M	188.86M	-48.74M	-18.66M
Cash Flow		Free Cash Flow
-63.86M	-53.66M	-66.73M	-73.56M	-25.19M	-26.40M
	Operating Cash Flow
-14.88M	-23.62M	-47.82M	-57.97M	-14.77M	-17.05M
	Investing Cash Flow
-45.86M	-17.65M	-41.83M	-120.85M	-10.41M	-9.42M
	Financing Cash Flow
80.69M	23.91M	26.37M	270.53M	16.62M	40.49M

Spire Global Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 7.48
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SPIR, the sentiment is Negative. The current price of 7.48 is below the 20-day moving average (MA) of 8.54, below the 50-day MA of 11.74, and below the 200-day MA of 11.77, indicating a neutral trend. The MACD of -1.12 indicates Negative momentum. The RSI at 33.42 is Neutral, neither overbought nor oversold. The STOCH value of 13.53 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SPIR.

Spire Global Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IRDM	70 Outperform	$2.53B	24.73	15.40%	2.40%	5.05%	632.38%
Sector *	62 Neutral	$7.16B	12.21	3.05%	3.43%	3.62%	-14.48%
PL	52 Neutral	$958.14M	―	-25.68%	―	10.72%	16.19%
RKLB	49 Neutral	$7.42B	―	-40.59%	―	78.34%	-1.13%
ASTS	48 Neutral	$6.35B	―	-103.82%	―	―	-85.21%
SPIR	43 Neutral	$244.21M	―	-787.97%	―	8.09%	-19.48%
SATL	42 Neutral	$328.05M	―	-118.08%	―	―	―

Spire Global Corporate Events

Spire Global Announces CFO Transition Effective April 2025

Spire Global announced a change in its executive team, with Alison Engel set to replace Thomas Krywe as the Chief Financial Officer, principal financial officer, and principal accounting officer, effective April 1, 2025. However, the transition was delayed to the business day following the filing of an amendment on March 31, 2025, and the grant date for Engel’s restricted stock units was also postponed to this new effective date.

Spire Global Reports Strong 2024 Financial Results

On March 31, 2025, Spire Global announced its financial results for the fourth quarter and full year of 2024, reporting a 13% year-over-year revenue growth to $110.5 million. The company also highlighted a 49% improvement in cash flows used in operations and a 16% improvement in free cash flow, reflecting progress towards positive free cash flow. Spire emphasized its strategic focus on operational efficiency and productivity to enhance market responsiveness and increase margins. Additionally, Spire announced a mission with Mission Control to explore AI in space and a partnership with LatConnect60 to improve sustainable agriculture practices using its satellite data.

Spire Global Secures $40M in Private Placement

On March 12, 2025, Spire Global, Inc. entered into a securities purchase agreement for a private placement of Class A common stock and pre-funded warrants, raising approximately $40 million. The private placement, which closed on March 14, 2025, aims to support the company’s working capital and general corporate purposes. The transaction, exempt from public offering registration, involves a lock-up agreement restricting stock sales by executives and directors for 90 days post-closing. This strategic financial move is expected to bolster Spire’s operational capabilities and market positioning.

Spire Global Appoints New CEO and Interim CFO

Spire Global, Inc. announced significant leadership changes on March 5, 2025, with Theresa Condor being appointed as the President and Chief Executive Officer, succeeding Peter Platzer. Condor has been with the company in various roles since 2013, most recently serving as CEO since January 2025. The board also appointed Thomas Krywe as interim Chief Financial Officer, effective March 7, 2025, following the resignation of Leonardo Basola. These changes come amidst the company’s review of certain accounting practices, although Basola’s departure was not due to any disagreements with the company’s operations or policies.

Spire Global Reports Strong Q3 2024 Financial Results

On March 3, 2025, Spire Global announced its third quarter 2024 financial results, highlighting a 29% year-over-year revenue growth to $28.6 million and achieving positive cash flow from operations. The company also completed the restatement of its financial statements, marking a significant milestone in its operational journey. Spire was awarded significant contracts from NASA and NOAA, and successfully launched seven satellites, enhancing its capabilities in weather forecasting and climate research. These developments position Spire for future growth and improved profitability, reflecting its focus on operational efficiency and reliable execution.

Spire Global Sues Kpler Over Failed Maritime Sale

On February 10, 2025, Spire Global filed a complaint in the Delaware Court of Chancery against Kpler Holding SA, a Belgian corporation, for failing to fulfill its obligations under the Share Purchase Agreement related to the sale of Spire’s maritime business. Spire seeks specific performance and declaratory judgment as Kpler did not consummate the transaction despite conditions being met. The outcome of the legal proceedings remains uncertain, with potential impacts on Spire’s business operations and stock price if the transaction is not completed.

Spire Global Secures WildFireSat Contract with Canada

On January 20, 2025, Spire Global’s subsidiary, exactEarth Ltd., entered into a contract with the Canadian government to develop the WildFireSat satellite constellation for monitoring wildfires in Canada. The contract, valued at Can$71.8 million, ends in 2027 but may be extended. Spire assigned the contract to its Canadian subsidiary and plans to expand its facilities in Ontario. Spire Global Canada, in collaboration with OroraTech, aims to enhance wildfire detection and management through advanced satellite technology, focusing on Indigenous community protection and economic benefits. The partnership also involves Indigenous businesses, emphasizing socio-economic impacts and employment opportunities.